We (a pvt.ltd.co) have opening cash balance of Rs -112000 but a cash withdrawn of Rs 275000 effected on 31.03.2011 from Bank cause the cash balance to go Rs -112000 on 1.4.2011.Please tell me how to rectify this entry without changing the cash amount and show that in Books of account of the company ?? As we have cash as our capital.
Regards,
Souarv das
you should have shown cash withdrawan after 01.04.2011 and let it be stand in reconcialiation on 31.03.2011
date of cash withdraw from bank in the books should be same as per bank statement. reconnsiliation is not required for this transaction. Cash withdraw from bank is increase your cash balance in hand.
| Originally posted by : Yogesh Bhandari | ||
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Frankly speaking this opening balance has been certified by CA so if I show a minus cash balance in the balance sheet of the period 2011-12 will it become an objection from audit point of view.Please tell me |
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Gupta Sachdeva & Co. Chartered Accountants
New Delhi
CA Final
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